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PERSONNEL
DEVELOPMENT
PA RTS EXC E L L E N C E
Reference Library
PERSONNEL DEVELOPMENT
PERSONNEL DEV E LO P M E N T
PAGE
Preface
Table of Contents
List of Documents
i-ii
iii-iv
v
CERTIFICATION
1-4
INTRODUCTION
System Overviews
Forms and Documents
Policies & Procedures Manual
Employee Handbook
5
8
9
15
JOB DESCRIPTION
Evaluators
Format
Support
Commitment to Process
Decision Grid
19
20
27
29
30
HIRING
Evaluators
Policies
Orientation
Administration
Decision Grid
31
32
38
39
40
PERFORMANCE EVALUATION
Evaluators
Review
Contents
Excellence Report
Personnel File
41
42
44
51
52
COMPENSATION PLAN
Evaluators
Plan
Administration
Decision Grid
55
56
62
68
COMMUNICATION
Evaluators
Introduction
Meetings
Financial Results
Departmental Objectives
Telephone
69
70
72
74
75
77
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PA RTS EXC E L L E N C E
PAGE
Evaluators
Plan
Resources
Evaluation
79
80
83
86
TERMINATION
Evaluators
Policy
Disciplinary
Leave of Absence
87
88
91
92
APPENDIX A
Parts Department
Personnel Forms
APPENDIX B
Employee Handbook
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PERSONNEL DEV E LO P M E N T
PAGE
System Overview
Job Description
Job Description Review
Job Description Observation Form
Hiring Process Flow Chart
Performance Evaluation Observation Distortions to Guard Against
Parts Department Dealerships Hub
Training Materials Catalogue Card
7
24
26
28
33
47
71
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PA RTS EXC E L L E N C E
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PERSONNEL DEV E LO P M E N T
PURPOSE
The purpose of this Module is to establish:
An understanding of the basic concepts pertaining to human
resource management
A positive attitude towards Dealership employees
Principles and techniques for proper handling and motivation
The effective use of forms and records to properly document an
employees activities and performance
REALISTIC BENEFITS
Properly administering Personnel Development will result in:
Systematic procedures
Fair, consistent and objective treatment of personnel
Motivation of employees
Greater efficiency
Greater productivity
Fulfilment of legal requirements
Improved intradepartmental relations
Improved interdepartmental relations
Improved customer satisfaction
PA RTS EXC E L L E N C E
INTRODUCTION TO PERSONNEL
MANAGEMENT SYSTEM
An overview of the entire Personnel Management System is shown on the next
page. In order to present a logical review of the materials, the system will be
discussed in eight major sections:
Policies and Procedures
Job Descriptions
Hiring
Performance Evaluation
Compensation Plans
Communications
Training & Development
Termination
Additionally, each section has a corresponding appendix. These appendices
include sample policies, documents and forms for your adaptation and use.
PERSONNEL DEV E LO P M E N T
PA RTS EXC E L L E N C E
Organisational Chart
Job Descriptions
Application for Employment
Job Interview Report
Reference Check
Employment Notice
Performance Evaluation
Excellence Report
Attendance Record
Payroll Change Notice
Personal Compensation Summary
Meeting Agenda
Skills Inventory
Training and Development Plan
Training Evaluation
Termination Notice
Exit Interview
Probationary Notice
Employee Reprimand
Accident Report
Leave of Absence Request
Employee Handbook
PERSONNEL DEV E LO P M E N T
Introduction
- Policies and Procedures Manual
MANUAL
A Dealership should maintain a Policies and Procedures Manual. The primary
reason is that employees are more productive when treated fairly and
consistently. Fair and consistent treatment is more readily achievable when
policies are written there is less chance of misinterpretation or
misunderstanding.
Additional reasons that a Policies and Procedures Manual is valuable include:
Appendix A includes numerous forms that can form the nucleus for a Policies
and Procedures Manual when verbage is included which specifies usage and
policy. The following discussion centres on the background for Policies and
Procedures.
RECRUITING
Guidelines for management to follow concerning recruitment procedures need
to be outlined. This will ensure consistency between departments and reduce
chances of discrimination. The purpose of recruitment is to hire the most
qualified candidate. Only qualifications related to job performance should be
used in the selection process. Qualifications to be considered should include:
education, experience, training and aptitude.
Employment applications should be completed by every job applicant. This will
ensure comprehensive gathering of data and provide points of discussion for the
interview.
PA RTS EXC E L L E N C E
Introduction
- Policies and Procedures Manual
PERFORMANCE EVALUATION
Every employee has three basic questions that they want and need answered to
maintain motivation. They are: what is expected, how much and by when, and
how am I doing? The purpose of any performance evaluation is to provide the
answers to these questions. Performance evaluations are not intended as a
substitution of immediate feedback, but are rather a forum where the employee
and supervisor can jointly devise a plan for improvement Performance evaluation
results should not come as a surprise to the employee.
The Dealerships Policies and Procedures Manual may include specific policies
related to the content and methodology of how performance evaluations should
be conducted.
Content may include:
Review of job description
Review of job standards
Review of policies and procedures
Review of customer handling
Review of interdepartmental relations
Review of intradepartmental relations
Review of training completed or required
Methodology may include:
Who should conduct evaluation process
Specific training or experience necessary for evaluation
Review of employees personnel records
Constructive and positive atmosphere
Balance between positive and negative feedback
A performance improvement plan if required, includes:
Specific action or results to be achieved
Managements support activities
Employees commitment to participation
Establishment of target dates
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PERSONNEL DEV E LO P M E N T
Introduction
- Policies and Procedures Manual
CONDITIONS OF TERMINATION
Most experts in the field of human resources agree that there should be only two
reasons for termination of employment. The two reasons are violation of
company policies and procedures and job performance below standard.
Standards of job performance will be discussed later. Specific rules must be
established concerning the employees behaviour and included in the Policies and
Procedures Manual of the Dealership. These rules should also include the
consequences for their violation. Consequences should vary dependent upon the
degree of seriousness. They might include:
Verbal reprimand
Written reprimand
Suspension without pay
Specific probationary period; second offence within this period
results in termination
Immediate termination
Whatever the rules or consequences, the objective is to enforce them in a fair and
consistent manner. Remember, termination can occur for reasons other than
violation of company policies or procedures, or below job performance
standards, such as:
Layoff
Medical disability
Retirement
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PA RTS EXC E L L E N C E
Introduction
- Policies and Procedures Manual
For these reasons, take into consideration the economic factors and procedural
steps that may be applicable:
Required notice
Appeals (if applicable)
Eligibility for holiday pay
Eligibility for bonus or incentive
Continued insurance coverage
Recall procedures from layoff or suspension
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PERSONNEL DEV E LO P M E N T
Introduction
- Policies and Procedures Manual
ADVANCEMENT AND PROMOTION
The Dealerships policy on advancement and promotion is intended to not only
clarify the conditions for which either can be achieved, but as employee
motivation. Once the mystery is removed, employees will strive for advancement
to the next level of pay or promotion to a higher level of responsibility.
The policy should include managements commitment to promotion from
within and commitment to pay for performance. Better candidates are also
attracted by continuous training programmes conducted both in-house and/or
through external programmes.
All advancement and promotion should be tied to the Dealerships performance
evaluation system. This promotes fairness, consistency, and objectivity. Three
factors that advancement and promotion should be based upon are: evaluation
rating, eligibility, and time/grade. Once a determination has been made by the
immediate supervisor to advance or promote an employee, the next level of
management should review and approve the decision.
COMPENSATION
Two basic precepts should be followed to generate the maximum return. Precept
one is to pay for performance. Precept two is that compensation should be tied
to the overall objectives of the business.
Pay for performance can be achieved by tying merit increases to an employees
performance evaluation. If the performance evaluation indicates above standard
performance, then a merit increase is warranted. The size of the merit increase
should be in direct proportion to the degree that performance is above the
standard.
Tying compensation to the overall objectives of the Dealership can be
accomplished through a commission structure. The process starts by first
determining the amount of pay a specific job classification, at a standard level of
performance, should be compensated, taking into account the following factors:
Going rate
Job to be done
People availability
Working conditions
Employees values
Affordability
13
PA RTS EXC E L L E N C E
Introduction
- Policies and Procedures Manual
COMPENSATION AND BENEFITS
As with all employee records, compensation records should be maintained
conscientiously. This includes records documenting commissions paid and time
clock cards.
To many employees, benefits are as important as compensation. For this reason,
it is important to detail the benefits offered in a Policies and Procedures Manual,
as well as an Employee Handbook. Included in the description and
administration of benefits should be the economic value and a statement that it
is viewed by management as a part of the total compensation package.
Typical benefits offered include:
Paid Holidays (personal, government and religious)
Paid Personal Time off
Funerals
Pregnancy
Weddings
Graduations
Military commitments
Medical Insurance
Disability Insurance
Life Insurance
Retirement Plan
Discounts on Products and Services
Tuition Reimbursement
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PERSONNEL DEV E LO P M E N T
Introduction
- Employee Handbook
The Employee Handbook is intended to be a condensed version of the Policies
and Procedures Manual. In the Handbook, management can outline both the
employees privileges and responsibilities. The Handbook is an integral part of
the orientation process. It provides a syllabus for the immediate supervisor
during orientation, and becomes a reference document for the employee once
actively employed.
Appendix B provides an example of an Employee Handbook. It is a sample of an
Employee Handbook from an actual Dealership. The text is this Module goes
into more detail than the example provides.
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PA RTS EXC E L L E N C E
SHOP RULES
Shop rules should be included as part of an employees job responsibilities. They
are intended not to be a restriction as much as the Golden Rule. In other
words, this is what any employee would expect of his peers, which enhances the
working environment for all.
Shop rules generally cover the following topics:
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PERSONNEL DEV E LO P M E N T
CUSTOMER RELATIONS
Customer Relations is intended to emphasise the importance of the customer to
the survival of the Dealership. And, without repeat customers, the Dealership
will not grow and prosper. Customer satisfaction is the responsibility of all
employees, whether or not they come into direct contact with the customer. The
support personnel have just as much impact as the salesperson or technician. The
following points should be addressed:
Individual contributions comprise the customers total dealership
experience
Customer complaint procedure
Recheck and verify data when in doubt
Accuracy generates satisfaction and efficiency
Treat customers courteously
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PA RTS EXC E L L E N C E
ORGANISATION OF HANDBOOK
The preceding explanation has outlined the specific information that should be
included in an Employee Handbook. In regard to its composition, it is further
recommended that it be organised as follows:
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PERSONNEL DEV E LO P M E N T
QUALIFIER
FORMAT
SUPPORT
COMMITMENT
TO PROCESS
DEALER ACTION
VALUE
19
15
15
15
15
15
15
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PA RTS EXC E L L E N C E
PURPOSE
The Parts Manager should establish the employees duties and use formal,
written methods to evaluate their performance. The Parts Department
employees Job Description should clearly define their duties, the expectations
for fulfilling those duties, and the methods by which evaluations will be made.
In other words, each person must know what they are to do, what the results of
their work should be, and how supervisory personnel will review those results.
The Job Description is a complete, realistic statement of an employees
responsibilities. The Description must be clearly written so that the meaning is
the same to both the employee and the supervisor. Thus, the words must be clear,
concise and fully understood.
A Job Description differs from a Job Classification. Job Classification includes
the title and level of the job. The level ranks a job relative to other jobs. The Job
Description explains the responsibilities.
When the Job Descriptions are prepared, their content and intent should be
discussed with the employees for their input and consensus. New employees
should have Job Descriptions explained to them during orientation. All
employees should know what their Job Descriptions require of them. Supervisors
should assure that this is so by discussing and clarifying each employees Job
Description with them.
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PERSONNEL DEV E LO P M E N T
Step 3
Review any proposed changes with the employee involved. Make sure the
new Job Description fits the employees working habits and responsibilities
or, if a change in routine is required, that the employee is clearly aware of
the new expectations
Step 4
Consider each of the critical uses for properly prepared Job Descriptions:
Establishing a basis for compensation which may also be used to justify
differences in amount based upon responsibilities, capabilities, or
proficiencies
Organising the jobs in the Department assures that every necessary
duty is assigned but not duplicated, and that all Department duties are
logically accomplished
Helping employees understand their positions in the Department
clarifies reporting relationships so that both those supervising and those
supervised are fully aware of requirements
Evaluating performance is simplified when Job Descriptions
thoroughly describe expectations in a measurable way. Employee reviews
can then become a discussion of outcomes, not an argument about
processes. Both supervisor and employee are working together for
consistent improvement in task performance
Orienting new employees is aided because the Job Description
provides a format for describing tasks that the new employee can study.
For this reason alone, be sure that Job Descriptions are easy to understand
Reviewing Department functions helps both the supervisors and the
Dealer assess how well employees are performing and how adequately this
important work of the Department is being accomplished
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PA RTS EXC E L L E N C E
Step 5
A complete Job Description should contain;
Position Title (using a proper and descriptive title)
Purpose stating in a few words the overall function of the position
Relationships defined by briefly identifying normal reporting and
working assignments; listing (by name) those to whom reporting and
supervisory roles are made
Minimum qualifications or prerequisites for the particular job are
outlined as capabilities. In many cases the differences in these
qualifications justify differences in compensation, particularly when job
titles are the same, but task capabilities may be far more sophisticated for
one Job Description than for another
Tasks are described briefly as duties and responsibilities. These should be
determined from the lists prepared in Steps 1 and 2
A final section should describe the limits of an employees actions as well
as provide the authority for the person to act within the limits prescribed.
Combined with this should be precise, measurable methods for
evaluating results. Wherever possible, these results should be prepared in
terms of agreed upon outcomes, approved plans, programmes or budgets
that apply to the job. These accountability factors form the basis upon
which the immediate supervisor evaluates performance
Step 6
After the preliminary Job Description has been prepared, discuss it with the
employee for which it was written. Confirm the expectations with both the
employee and the supervisor. Clarify contents; reach agreement. Alter the
Job Description as necessary to assure the Parts Department and the
Dealership, as well as the employee, are receiving fair, reasonable and
equitable treatment
Step 7
As tasks in the Parts Department change, or new titles are developed, the
Job Description should reflect what the employee actually does. Properly
written, a Job Description gives the employee a sense of belonging, control,
and purpose and a feeling that supervision is equitable
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PERSONNEL DEV E LO P M E N T
Not only will a copy to the employee provide direction and a sense of belonging,
but it will also provide management an assessment tool and increase
Departmental efficiencies.
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PA RTS EXC E L L E N C E
JOB DESCRIPTION
PREPARED BY
(TITLE)
DEPARTMENT
Functions/Purpose
DATE
Relationships
Standards of Performance
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PERSONNEL DEV E LO P M E N T
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PA RTS EXC E L L E N C E
(TITLE)
DEPARTMENT
Responsibilities Added
Responsibilities Deleted
Authority Added
Authority Deleted
Standards Increased
Standards Decreased
Training Needed
Special Accomplishments
26
DATE
PERSONNEL DEV E LO P M E N T
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PA RTS EXC E L L E N C E
(TITLE)
DEPARTMENT
DATE
TASK
Standards Increased
Be sure to tell employee(s) why you are observing them and ask them to perform their jobs in
a normal manner. If the job involves more than one task or responsibility, use a separate sheet
for each.
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PERSONNEL DEV E LO P M E N T
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PA RTS EXC E L L E N C E
RESPONSIBILITIES
EXPECTATION (Who)
RESPONSE (What)
GENERAL
MANAGER
PARTS
MANAGER
EMPLOYEES
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PERSONNEL DEV E LO P M E N T
Hiring - Evaluators
QUALIFIER
POLICIES
ORIENTATION
ADMINISTRATION
EMPLOYMENT FILES
DEALER ACTION
VALUE
8
8
8
8
8
10
10
10
10
10
10
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PA RTS EXC E L L E N C E
Hiring - Policies
RECRUITMENT
Recruitment is the process by which job candidates are sought and encouraged
to apply for the vacant position. The Dealership has available the following
sources:
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PERSONNEL DEV E LO P M E N T
Hiring - Policies
Hiring Decision
is made
Recruitment
In-House
Review Of
Performance
Evaluators
Outside
Posting
One or More
of Seven Sources
Preliminary Screening of
Applications and Self-Nominees
Initial Interview
Selection
Process
Verification of Data
Notification of Decline
Second Interview
Assessment
Orientation
Process
Notification of Decline
Notification of Decline
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PA RTS EXC E L L E N C E
Hiring - Policies
The posting of a job opening will allow the employees to self-nominate. This is
critical for two reasons:
It is possible that a specific qualification has been overlooked, or acquired
since the employees last performance review
Employees who think they are qualified and are not will be informed of this
fact
Accompanying the job positing should be the method and the contacts name,
address, and telephone number to initiate the process.
Beyond establishing in-house promotion and transfer as the number one source
of recruitment, the remaining sources should be prioritised by management.
QUALIFICATIONS
The qualifications for an open job position should be referred to in the specific
job description. These qualifications are first used in both the posting and
advertisement of the position to be filled. This will discourage unqualified
candidates from applying for the job, making the screening process for
management much simpler.
Secondly, the job qualifications enumerated in the job description will provide
an effective screening device when reviewing job applications. The job
application shown in Appendix A will highlight the following:
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PERSONNEL DEV E LO P M E N T
Hiring - Policies
INTERVIEW PROCESS
After recruitment has begun and both self-nominations and job applications are
received, the next step is the interview process. The interview process occurs
twice at a minimum:
Initial Interview
Second Interview
The initial interview is conducted by an experienced member of management.
During this interview, the candidate is queried about data provided on either the
self-nomination or job application. This data relates to general background,
foreign language capabilities, employment experience, special skills and
qualifications, and education and training. In the case of self-nominees, previous
evaluations should also be a topic of discussion.
After the initial interview, the interviewer must make a determination that the
candidate possesses all the necessary qualifications. If not, the candidate should
be notified in writing that he/she is no longer under consideration and why.
If the candidate possesses the necessary qualifications, their job application, or
performance evaluations in the case of self-nominees, should be checked and
verified for completeness and accuracy.
If the candidate is from outside the Dealership there should be a thorough
investigation. Included in Appendix A is a sample telephone reference check.
Not all previous employers will be willing to discuss present or previous
employees. However, these questions must be asked. At a minimum, two key
questions will provide a clue as to the candidates hire ability. They are:
Verification of employment, including dates
Would you rehire? Why or why not?
Be careful to make an objective decision. Sometimes employers will provide
good reference just to unload an employee from their rolls. Other times, a
personality conflict will jade the previous employers response.
Once the job application data has been verified, the candidate should be
contacted for the second interview. The second interview should include the
immediate supervisor, either in a team interview or series of one-on-ones.
During the second interview, feedback from reference checks should be discussed
and elaborated upon. Also, the job description and company policies are
excellent topics for review. The candidate should be provided a clear picture of
the responsibilities and organisation so that they can make an enlightened
decision concerning their career.
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PA RTS EXC E L L E N C E
Hiring - Policies
A Job Interview Report is located in Appendix A. This form will help the
interviewer with their assessment of the candidate.
At the conclusion of the second interview, the management team should make
the decision as to tendering the candidate an offer of employment. If
management tenders an offer of employment, it should be conditional on the
basis of the candidates ability to pass an assessment.
ASSESSMENT
The assessment process encompasses any testing that the Dealership deems
necessary. Assessment or testing is applicable in three general areas:
Skill
Knowledge
Aptitude
Skills assessment is usually a measurement of ones ability to apply knowledge or
use machines or equipment such as:
Typing
Computer input or accessing
Driving
Calculator or other business machines
Parts catalogues and price schedules
Mechanical
Interpersonal relations
Math and number recall
Instruction oriented or self-reliant
Team player or individually motivated
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PERSONNEL DEV E LO P M E N T
Hiring - Policies
In many situations, testing is not legal unless it is directly related to the job itself,
and validated. Validation is the process by which the assessment has been proven
to be an accurate predictor of the candidates success on the job. If the assessment
is copyrighted, the author should be prepared to substantiate its validation. If the
assessment is internal, management should consult legal counsel before its use.
Whether or not your Dealership uses assessments is a decision that your
management team will have to make. Remember that the intention of any
assessment is to measure a candidates skill, knowledge, or aptitude. This
feedback is then intended to be an indicator of the candidates likelihood of
success.
SELECTION PROCESS
The selection process is not an exact science. However, if the previous steps
outlined are followed, the best decision of who to select for the job will be greatly
enhanced.
Combining all these factors and inputs, the Dealership management team
should be capable of making an enlightened decision.
The written policy related to the selection process should state either the job
titles or individuals responsible for the final decision and the criteria/process to
be used.
In addition to the written policies outlined, specific managers should be assigned
the responsibility of implementation. A singular manager should be appointed
by the Human Resource Manager to oversee the entire process.
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PA RTS EXC E L L E N C E
Hiring - Orientation
PROCESS
It is suggested the orientation process include the following:
Information about the Dealership history, ownership and organisation
Statement of company policy related to customer satisfaction, quality
control and safety regulations
Information about the Dealerships products
Job responsibilities, duties and working hours
Location of workplace
Compensation and benefit programmes
Introduction to key personnel and tour of facility
Presentation of Employee Handbook
While these are suggested items to be covered by the immediate supervisor
during the orientation process, the following three items are mandatory: Job
Description, explanation of Dealerships policies and procedures and Employee
Handbook.
COMMITMENT TO PROCESS
It is imperative that persons administering the hiring process be qualified. It is
recommended that one manager be assigned as the Human Resource Manager
(HRM). His responsibilities would include overseeing all matters concerning
employee relations plus training and coaching other managers administering the
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PERSONNEL DEV E LO P M E N T
Hiring - Administration
Dealerships policies and procedures. Each new manager should undergo a brief
training session related to employee relations Content of such training should
include:
Recruitment
Hiring
Interview Process
Orientation
Performance Evaluation
Promotion/Transfers
Termination Process
Each of the subject areas should be reviewed in detail including the appropriate
forms and the Dealerships philosophy. When the Human Resource Manager is
confident of a managers ability, the manager would conduct his initial employee
proceedings with HRM observing.
Proper training and orientation of managers plus one key manager assigned as
co-ordinator is the only method available to assure fairness and consistency of
employee relations.
EMPLOYMENT FILES
Records are important because they provide information on which to base
decisions in the future. In the hiring process, records also supply a basis for
explaining or justifying changes that were made.
This can be especially important if candidates who were not selected bring legal
action against the Dealership for violation of rights guaranteed them under the
law.
All records involved in the selection process need to be retained. This should
include:
Resumes
Letters of Application
Written responses to advertisements
Written responses to postings
Job applications
Job Interview Report
Assessment Results
If the candidate is not hired, all information should be kept on file for one year.
If the employee is hired, all information should be made a part of the employees
personnel file.
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PA RTS EXC E L L E N C E
HIRING
EXPECTATION (Who)
RESPONSE (What)
SOURCES
FOR NEW
EMPLOYEES
MINIMUM JOB
QUALIFICATION
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PERSONNEL DEV E LO P M E N T
QUALIFIER
REVIEW
CONTENTS
DEALER ACTION
VALUE
10
4
4
4
4
4
4
4
4
EXCELLENCE
REPORT
PERSONNEL
FILE
41
10
3
3
3
3
3
3
3
3
3
3
3
3
3
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PA RTS EXC E L L E N C E
APPRAISAL PROCESS
Before any action can take place to improve or reward performance, you must
have a base or starting point. That involves observation and keeping records on
actual performance.
Not everything can be recorded. Below are various indicators of performance
that may be applied.
Productivity
Efficiency
Quality of Work
Customer Handling
Sales
Attendance
Work Habits
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PERSONNEL DEV E LO P M E N T
Merit increase
Additional benefits
Promotion or transfer
Added responsibility
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PA RTS EXC E L L E N C E
IMPORTANCE
The Performance Evaluation is the method by which feedback is provided to the
employee. This feedback should inform the employee as to the quantity and
quality of their work. In the absence of feedback, employees are likely to
continue to perform as they have in the past. Since most employees want to do
a good job, providing feedback will assist both management and the employee to
achieve favourable performance. To provide feedback that is specific, achievable
and time-oriented, it is suggested the following areas be addressed:
Responsibilities/Authority
Performance Summary
Performance Rating (per item)
Performance Rating (overall)
Employee Comments
Employee Commitments
Management Comments
Management commitments
RESPOSIBILITY/AUTHORITY
Performance Appraisal forms should outline a jobs major responsibilities and
authority. These responsibilities and authority describe the primary duties and
other major functions of a position in which an employee is expected to achieve
results. Along with the major responsibilities, the corresponding authority to
accomplish these tasks should be defined.
In order to be effective, these responsibilities and authority should be expressed
objectively, clearly, and concisely; be job centred and output oriented.
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PERSONNEL DEV E LO P M E N T
PERFORMANCE SUMMARY
The Performance Summary is where management recapitulates the employees
performance to date. Specific examples drawn from the employees Personnel File
should be cited. Such examples will assure consistency and fairness, as well as
justify the performance rating assigned by the supervisor for specific
responsibility.
Typical Performance Summary references might include:
Customer Letters
Excellence Reports (generated by management)
Attendance Records
Accident Reports
Employee Reprimands
Actual Performance compared to Standards
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PA RTS EXC E L L E N C E
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PERSONNEL DEV E LO P M E N T
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PA RTS EXC E L L E N C E
EMPLOYEE COMMENTS
The Employee Comment section of a Performance Evaluation is the method
allowing input from the employee. Nobody knows, or understands, the job
better than the employee who is performing it! Oftentimes, the employee can
inform management of specific achievements or difficulties encountered on the
job. Remembering that the Performance Evaluation is a two-way
communication process can substantially increase productivity and morale.
Employees should be encouraged to comment and made to feel a part of the
overall process. Employee comments typically include:
EMPLOYEE COMMITMENT
The Employee Commitment section of a Performance Evaluation is a method
allowing obligation to action plans on the part of the employee. These action
plans are specific steps to be taken to improve performance and increase
effectiveness. Action plans typically include:
Commitment for future training
Commitment for continuing education
Commitment to follow recommended procedures
Commitment to improve performance in specific result area or
responsibility
Commitment to assume added responsibilities and greater authority
The action plans of both the employee and management should be co-ordinated.
Each should specify the what, when and how much each party is committed to
accomplish.
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PERSONNEL DEV E LO P M E N T
MANAGEMENT COMMENTS
The Management Comment section of a Performance Evaluation allows the
evaluator to summarise his overall appraisal of the employee. Comments can
range from highlights to lowlights of performance dependent upon the overtone
of the review. Additionally, work habits and work ethics which are usually not
listed as major responsibilities can be evaluated. These ancillary subjects might
include:
Organisation and Planning Skills
Organising the job
Planning ahead
Effective use of time
Establishing appropriate and effective follow-up procedures
Personal Accountability
Attendance
Punctuality
Integrity
Acceptance of responsibility for actions
Communication of Information
Verbal
Written
Working with Others
Explains decisions to others
Informs others on matters that may affect them
Cooperates to get the job done
MANAGEMENT COMMITMENT
The Management Commitment section of a Performance Evaluation is a
method allowing management to outline specific action plans to improve an
employees performance and effectiveness. These action plans typically include:
Training
Formal
On-the-job
Education
Academic
Technical
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PA RTS EXC E L L E N C E
50
PERSONNEL DEV E LO P M E N T
Performance Evaluation
- Excellence Report
USAGE
To ensure a balance of employee feedback, it is recommended that an Excellence
Report be utilised. The report is intended to recognise exemplary actions and
results achieved by employees. Once completed by a member of management, it
should be kept in the employees personnel file for future reference and
consideration at the annual evaluation.
CONTENTS
The information recorded on the document should include necessary data such
as name, position, department and date. The pertinent facts concerning the
action or results being recognised should be elaborated upon. Lastly, the action
taken by management needs to be documented. This action could include:
Letter of Commendation
Promotion
Merit Increase
Bonus
Other Recognition Award
51
PA RTS EXC E L L E N C E
USAGE
The Personnel File is the keystone to effective personnel development and
management. No singular document form, or report can emody all the
individual pieces that, when combined, complete the puzzle. The permanent
Personnel File is used as a reference to determine the following:
Evaluations
Promotions/Transfers
Merit Increases
Eligibility of Benefits
Training
Reprimands
Terminations
ORGANISATION
The Personnel File need be nothing more than a folder containing the
Dealerships records relating to an individual employee. Within the folder, the
information should be organised based on the frequency with which the material
is consulted. For example, the file could be divided into three parts:
Permanent data that is not frequently revised, such as pre-employment
documentation, receipts, etc.
Semi-permanent information such as emergency telephone numbers, salary
and position history, etc.
Items of a current nature that are revised frequently or kept for shorter
periods of time, such as performance records, attendance records, etc.
CONTENTS
Both the usage and organisation have been discussed in the previous evaluator.
As stated, the Personnel File is an accumulation of all the documents and data
related to an individuals employment. A brief outline and explanation of
material to be retained is shown below. Samples are included in Appendix A.
52
PERSONNEL DEV E LO P M E N T
INTERVIEW REPORTS
The Interview Report will provide observations of the employees personal
characteristics such as appearance, bearing, expressions, job knowledge,
motivation, and personality. This information can be helpful to determine
changes in character and deportment.
REFERENCE CHECKS
The Reference Checks will provide observations of the employees previous work
history. Information related to the type of work, quantity or output, quality of
work and work habits can be helpful in career planning.
EMPLOYMENT NOTICE
The Employment Notice will provide employment anniversary date, starting
salary, orientation supervisor, and starting position. This information can be
helpful determining benefits eligibility, merit increases, and seniority privileges.
ORIENTATION CHECKLIST
While not mandatory, an Orientation Checklist can be used to ensure the
Dealerships policies and procedures have been communicated to the employee.
Refer to Appendix B.
PERFORMANCE EVALUATION
The Performance Evaluation will provide major responsibilities, performance
summary, performance ratings, employee comments and commitments, and
management comments and commitments. This information can be helpful in
determining career goals, promotions/transfers, merit increases, probation, or
termination.
EXCELLENCE REPORTS
The Excellence Report will provide documentation of an employees exemplary
actions or achieved results. This information can be helpful in determining
evaluations, merit increases, merit awards, promotions and transfers.
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PA RTS EXC E L L E N C E
ATTENDANCE RECORDS
The Attendance Records will provide dates, length of absence and reason for
absence; such as, sickness, vacation, jury duty, military commitment or others.
This information can be helpful in determining excessive absences, eligibility of
benefits and benefit premium rates.
ACCIDENT REPORT
The Accident Report will provide the date, time and location of the accident.
Additionally, the report will describe the accident, injuries incurred, cause and
recommended prevention measures. This information can be helpful in
determining entitlement to health and accident benefits, property claims, and
conformance to governmental health and safety standards.
EMPLOYEE REPRIMAND
The Employee Reprimand will provide nature of warning, frequency of
violation, occurrence date, time and location. Additionally, supervision records
the specifics of the incident. This information can be helpful to determine the
extent of management action to be taken. Action may entail warning, probation
or possible termination.
TERMINATION NOTICE
The Termination Notice will provide the type of termination, specific reasons for
termination, benefit cessation schedule, and calculation of final pay cheque. This
information is critical to lessen the chances of misunderstanding or legal action
on the part of the employee.
EXIT INTERVIEW
The Exit Interview will provide the reason for the separation such as resignation,
discharge, layoff or retirement. Additionally, the effective date of the separation
and forwarding address is indicated. This information can be helpful to
determine eligibility of benefits, rehire status, reasons for employee turnover, and
where to send future communications.
54
PERSONNEL DEV E LO P M E N T
QUALIFIER
PLAN
ADMINISTRATION
DEALER ACTION
VALUE
55
10
10
9
10
10
10
10
7
7
7
10
PA RTS EXC E L L E N C E
SALARY
A compensation plan is broken into three categories: salary, incentives, and
customer satisfaction. Each has a distinct purpose and impact on an employees
motivation to do the total job. A salary or hourly rate is intended to compensate
the employee for standard or competent job performance. Again, these standards
should be outlined in the written job description for each classification.
Some variance in salary or hourly rate may exist due to recognition of time or
experience. For example, the job classification of a Counter Person may have a
scale as follows:
New Hire, no experience
$600/month*
$675/month*
$750/month*
$825/month*
*Sample averages are derived from North American Operations, which are subject to variation for
Middle East purposes.
The variance in salary or hourly rate may also include incremental increases
based on performance evaluations. For example, the job classification of a
Counter Person may have increments as follows:
Outstanding (Far Above Standard)
710% increase
Above Standard
5% increase
2% increase
The advantage of a salary or hourly rate is that it keeps the employee focused on
the entire job to be done. This portion of the employees compensation should
be 60-70% of the total.
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PERSONNEL DEV E LO P M E N T
INCENTIVES
Incentive are intended to accentuate the specific goals or objective of the
Department. Incentives are paid when the employee maintains above standard
performance, helping the Department achieve greater profitability. Incentives are
most effective where job performance is quantitative and where the volume of
work is directly proportional to the employees performance.
The types of incentives are multifaceted. The higher up the financial statement
the pay plan is based, the more complex it is to determine how much profit an
employees effort produces for the Dealership. Incentives can be based on the
following criteria:
Parts Sales
Parts Gross Profit
Parts Net Profit
Incentives other than financial:
Inventory turnover
Stock order purchase percentage
Lost sales
Earned and unused obsolescence reserve
Credit experience
Number of open Repair Orders due to non-availability of parts
Accuracy of documentation
Shipping
Receiving
Factory orders
Purchase orders
Repair orders
Counter tickets
As you can see, there is a wide variety of factors on which to base an incentive
plan. Dependent upon the criteria deemed most critical by management, the
direction and motivation of employees can be targeted. It is recommended that
the incentive plan be kept simple and easy to administer. No more than two
different criteria should be used to comprise an incentive plan. This portion of
the employees compensation should be 10-20% of the total.
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PA RTS EXC E L L E N C E
CUSTOMER SATISFACTION
Customer Satisfaction is the life blood of any business. It is the key to both
survival and growth. This has to be stressed to all levels of the organisation. Too
many times, employees treat customer inquiries as interruptions, when in reality,
they are the purpose of our existence. Some car manufacturers provide their
dealers with a Customer Satisfaction Index (CSI)) you could also devise one of
your own.
If you must rely on your own tabulations, several measurable factors are
available. They are:
Number and type of customer comments
Verbal
Written
Returns due to incorrect part
Technicians
Wholesale
Retail
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PERSONNEL DEV E LO P M E N T
ENVIRONMENTAL FACTORS
Once all three elements are brought together: salary, incentives and customer
satisfaction, the total compensation depends on six Environmental Factors.
The Going Rate The same job means the actual job to be done, not just
the same job title. The going rate includes not just base pay, but also fringe
benefits
Jobs to be Done Higher than going rate may be needed where there are
obstacles to overcome such as poor location, previous mishandling, or poor
availability. Lower rates may be possible where pay is earned with less effort
People Availability the Dealership may have to pay more/less depending
on working conditions as compared to other Dealerships
Employees Values Adequate pay for a given job will vary with each
employees idea of what they think they are worth. Unless you can meet it,
or promise it in the future, dissatisfaction is likely and turnover highly
possible. High turnover and difficulty in recruiting are signs that a
compensation plan may be poorly designed
What the Dealership Can Afford This can be determined by forecasting
the contribution the employee will make to the Dealership in terms of
realistic operating results. These reports are the standard job for which
the Dealership will have to pay the going rate, and from which any variance
or incentives are formulated in order to pay for performance
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PA RTS EXC E L L E N C E
NEED OF A COMPETITIVE
COMPENSATION PLAN
A competitive compensation plan will ensure the recruitment and retention of
qualified personnel. Without a competitive plan, manpower turnover will occur,
increasing both direct and indirect costs. Direct costs include recruitment,
interviewing, orientation and training. Indirect costs include loss of productivity,
lost efficiencies, increased workloads, and reduced customer satisfaction. While
these expenses are difficult to measure, one worldwide manufacturer has
estimated cost at $100,000 per employee turnover.
Not only are costs incurred, but the organisation as a whole suffers from low
morale, lack of teamwork and the failure to achieve sales and profit objectives. A
synergistic effect can be gained from a competitive compensation plan.
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PERSONNEL DEV E LO P M E N T
MEASURING COMPETITIVENESS
Determining the competitiveness of your compensation plan is not an easy task,
but it can be accomplished. As mentioned earlier, the first indication of
inequities in pay is employee turnover. To alleviate this occurrence use one or
more of the following methods:
While this task might be secondary for most line managers, their input is crucial
to the overall effectiveness of the compensation plans. Whenever information is
collected, it should be directed to the Business Manager or Comptroller for
reference at the Managers annual review of compensation by job classification.
The data gathered, compiled and reviewed should include:
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PA RTS EXC E L L E N C E
MECHANICS OF A REVIEW
In order for the Parts Manager to conduct an effective review of the
Departments compensation data, he will need to develop comparative
information.
Some of the comparisons would include:
$12,000*
$14,000*
13%*
50-55%*
44-48%*
*Sample averages are derived from North American Operations, which are subject to variation for
Middle East purposes.
The Parts Managers review should also include examination of payroll records
as a means of evaluating individual performance. Only in this way can a Parts
Manager assure that employees are paid according to their contribution to the
Department.
SUPERVISOR PARTICIPATION
In the development of compensation plans it is important to pay according to
performance. Because the immediate supervisor is the person closest to the
employees day-to-day performance, they are in the best position to evaluate the
employees contribution.
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PERSONNEL DEV E LO P M E N T
GOALS
There is no doubt that routine pay increases are effective in motivating
employees. Too frequently, however, these increases become automatic and are
expected by the employee. Without measurement of an individual employees
contribution, pay for performance is not assured. If, however, goal setting and
achievement are used as a basis for compensation, the Dealerships goal of paying
for performance can be attained.
Specific
Time oriented
Measurable
Achievable
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PA RTS EXC E L L E N C E
64
PERSONNEL DEV E LO P M E N T
Retail Sales
Per counter person
Per repair order
Wholesale Sales
Per wholesale representative
Per invoice
Per account
Wholesale Accounts
Net gain
Number of orders
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PA RTS EXC E L L E N C E
Expense Control
Number of lost days due to accidents do not exceed maximum objective
Supplies, such as computer paper, forms, documents and pens are within
budget
Inventory kept neat for safety and shrinkage
Credit over 90 days is within maximum allowed
Warranty charge-backs due to missing defective parts are kept to
minimum
Delivery truck downtime is kept to minimum
The intent of this evaluator is to stress that management target any incentive
plan on controllable and results-oriented factors.
The purpose of an incentive plan is to focus the employees attention, concerns
and efforts toward the overall objectives of the Dealership. Incentive plans are
effective if they are understood and achievable by all the parts involved. And, the
rewards for achievement must be perceived as rewarding by the recipient.
For additional incentive ideas refer to the Standards of Performance sections in
the sample Job Descriptions located in Appendix A.
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PERSONNEL DEV E LO P M E N T
CONTENT
The contents of a Personal Compensation Summary should include the
following items, if applicable.
Statement from Dealer
Health Care Benefits
Basic Medical
Dental
Vision
Major Medical
Retirement Benefits
Social Security
Non-contributory
Contributory
Disability Income
Stock Savings
Profit Sharing
Survivor Benefits
Total of Benefits Offered
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PA RTS EXC E L L E N C E
RESPONSE (What)
COMPENSATION
PLAN
PURPOSE
MEET THE
FOLLOWING
STANDARDS
To attract employees
Retain good employees
Encourage productivity
Control employee time
Control employee activity
Promote efficiency
? If Parts Department personnel make
?
?
?
?
?
?
?
?
?
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PERSONNEL DEV E LO P M E N T
Communication - Evaluators
QUALIFIER
REVIEW
MEETINGS
FINANCIAL
RESULTS
DEPARTMENTAL
OBJECTIVES
TELEPHONE
DEALER ACTION
VALUE
10
10
10
8
8
10
8
8
8
10
10
69
10
PA RTS EXC E L L E N C E
Communication - Introduction
SKILLS
Basic communication skills include four points:
Listening and Observing the process of taking in information from
someone and organising it so you can use it intelligently
Questioning the process of using a series of logically related questions to
systematically obtain the information you need
Verifying the process of confirming the information exchanged between
you and the person communicating with you, and determining whether or
not an agreement is reached
Explaining the process of giving a person information efficiently,
logically, and convincingly
Not only is it important that communication be open and free flowing within
the Parts Department alone, but between all departments as well. The Parts
Department forms the hub of the Dealership, which all of the Departments
interface with and rely upon. Observe the diagram shown.
Its fairly well recognised in the industry that the Sales Department makes the
first sale, but repeat business depends upon the service delivered after the sale.
The Parts Department not only supports the Service Department, but all the
other departments both directly and indirectly. The New Vehicle Department
needs availability to provide accessories for its new vehicles. The Used Vehicle
Department needs availability to support its reconditioning effort. The Finance
and Insurance Department depends on the Parts Department to provide
availability of chemicals to perform rust proofing, fabric coating, paint sealants,
etc. And, both the Service Mechanical and Service Body Department rely on the
Parts Department for availability of mechanical and crash parts.
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PERSONNEL DEV E LO P M E N T
Communication - Introduction
New
Vehicle
Department
Used
Vehicle
Department
Finance
Insurance
Department
Parts
Department
Service
Mechanical
Department
Support
(Secondary Repairs)
Competition
71
Service
Body
Department
PA RTS EXC E L L E N C E
Communication - Meetings
DEALERSHIP MANAGEMENT
Alone, the Parts Department cannot assure total customer satisfaction. This
requires the combined efforts of all departments and managers. Only with a total
Dealership effort will customers receive the products, services, and treatment
that will provide the competitive edge.
PLANNING
Bringing together all the Dealerships department managers monthly and
conducting an effective meeting requires both planning and active participation.
To aid your planning, it is recommended that an agenda be completed and
circulated prior to the meeting. This will allow the managers to organise the
information necessary for their individual input. By actively involving each
manager, participation and co-operation can be enhanced.
SHEDULING
The Scheduling of the management meetings is crucial to their success. Most
Dealerships schedule their meetings as soon as feasible after the release of the
Monthly Operating Report. This permits a timely review and forecasting for the
upcoming month.
CONDUCTING A MANAGEMENT
MEETING
Sitting together, the Dealer or General Manager should chair the meeting,
thereby keeping the session moving in a predetermined direction. The purpose
and resolutions to be decided upon should be stated at the beginning of the
meeting. Each department manager should then be called upon to provide
his/her report regarding the subject under discussion. At the conclusion of the
meeting, each subject discussed should be enumerated along with its final
disposition. To help organise your meetings, a sample agenda is shown in
Appendix A Communication.
The same basic guidelines that apply to management meetings also apply to
departmental meetings.
72
PERSONNEL DEV E LO P M E N T
Communication - Meetings
CONDUCTING A DEPARTMENTAL
MEETING
During each regularly scheduled Department meeting, the Parts Manager should
review the results of the previous month and establish objectives for next month.
The results and objectives can be both financial and non-financial. A typical list
would include:
Financial
Non-financial
73
PA RTS EXC E L L E N C E
PURPOSE
The purpose of the Parts Manager receiving monthly financial results and trend
information is quite obvious. How can anyone be expected to pilot the ship
without being able to read the charts? For the Parts Manager to do an effective
job, he must know where he is headed financially. The financial results and trend
information serve as indicators to the manager, reflecting previous operational
decisions and influencing future ones.
The results recommended to be provided to the Parts Manager include:
This financial data can be furnished easily by providing the Parts Manager with
his section of the Operating Report. Additionally, each expense allocation by
individual account will be shown. This information is helpful to the Parts
Manager in determining the effectiveness of his expense control.
If, for whatever reason, Dealership management does not desire to share all the
information previously discussed, a Daily Operating Control (D.O.C.) sheet can
be prepared indicating only that information management is willing to share.
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PERSONNEL DEV E LO P M E N T
Communication
- Departmental Objectives
PURPOSE
The Dealer or General Manager should work with the Parts manager to jointly
establish Departmental objectives. The job of any Dealer or General Manager is
to provide direction to his departmental managers. Without this direction, the
risk is run that the effort of the whole will not be synchronised with efforts of its
parts. For the Dealership to achieve its overall objective whether sales, profits, or
customer satisfaction, all departments must be organised and working in concert
with one another.
By establishing objectives jointly, the Dealer or General manager is afforded the
opportunity to receive direct feedback from the Parts Manager.
NON FINANCIAL
Lost Sales
Emergency Purchases
Cars Tied Up Due to Lack of Parts
Housekeeping and Safety
Customer Satisfaction
Interdepartmental Relations
Space Utilisation
Warranty Handling
Scrap Handling
Core Handling
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PA RTS EXC E L L E N C E
Communication
- Departmental Objectives
EMPLOYEE COMMUNICATION
The purpose of communicating both objectives and results to employees is to
motivate and direct their efforts. Frank and open discussion of Dealership
objectives and results is the most effective way to achieve clear understanding.
Employees do a better job when they are given an overview of the Companys
objectives and how their efforts help to achieve them.
PROCESS
Communication of both objectives and results can occur by five different
methods:
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PERSONNEL DEV E LO P M E N T
Communication - Telephone
NECCESSITY
Most incoming telephone calls are from customers. For this reason alone,
telephone etiquette takes on added importance. Employees who are responsible
for answering the telephone should be reminded that when the phone rings its
a customer wanting information or to place an order. The telephone should be
viewed as a sales tool and priority, not an interruption.
Each time a customer calls, an impression is made. Employees should be taught
to talk in a positive and affirmative manner. Listed below are tips on effective
telephone use:
TELEPHONE ETIQUETTE
Always answer by the third
ring
Avoid putting the caller on
hold
Smile when you answer
(positive attitude)
Use your name and
identify the Dealership
Get the callers name and
use it
Be friendly
Do not rush
Show consideration and
helpful attitude
Listen attentively and get all
the facts
Do some additional selling
Always let the caller hang up
first
If you promise to call back
with information do it
promptly
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PA RTS EXC E L L E N C E
Communication - Telephone
EQUIPMENT
Nothing can be more frustrating to a customer than being put on hold or
hearing a busy signal. The type of equipment, number of instruments, and
features should be carefully considered and evaluated based on the volume of
incoming and outgoing calls.
Also, the call routing should be evaluated. Many Dealerships have found that
direct lines versus switchboards alleviate having to put the customer on hold.
Dealerships selling extensively in the wholesale market have found toll-free lines
effective in promoting additional sales.
To assist you in evaluating your telecommunications system, consider contacting
your local telephone representative. Generally, their surveys are in-depth and free
of charge.
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PERSONNEL DEV E LO P M E N T
QUALIFIER
PLAN
RESOURCES
EVALUATION
DEALER ACTION
VALUE
79
12
12
12
12
10
10
10
12
10
PA RTS EXC E L L E N C E
USES
A Training and Development Plan allows the manager to evaluate the training
needs of an individual employee, select the training most appropriate, and follow
up on progress. If this plan is maintained and kept in an employees Personnel
File, it will provide the necessary information for the Performance Evaluations
Action Plans.
PROCESS
The intent of the plan is to ensure that the training is necessary and that the
training selected provides the appropriate skills or knowledge needed.
In order to identify training needs, an inventory of the employees job skills is
required. Skills needed for the same job classification are identical. Take the time
to develop a list of job skills needed to operate your Parts Department effectively,
and then rate every employee as to his proficiency in each skill. A sample Skills
Inventory is shown in Appendix A.
Next, compare the skills that have been rated on the Skills Inventory and
compare them to the responsibilities shown in the employees Job Description.
If there are responsibilities on the Job Description that are not indicated on the
Skills Inventory, training is needed. If the employee is being developed or
considered for a promotion, compare the responsibilities of the Job Description
for the higher level job classification to his Skills Inventory. This step will
increase the employees readiness level.
CONTENT
After you have identified each employees skills and made a comparison to either
their current or future Job Description, the training needs can be identified.
Training or development needs are usually necessary for the following reasons:
To correct a problem These are the needs that come from those
responsibilities the employee should know how to do, but either does not
do at all or does unsatisfactorily
To maintain a skill All employees skills must be kept up-to-date. Every
year models change as does technology required to do the job
To develop new skills These are skills that will be required in the future.
They are intended to prepare the employee for a higher level job
classification
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PERSONNEL DEV E LO P M E N T
EVALUATION
To assure that the Training and Development Plan is not initiated and then
dropped, it should be reviewed and revised by management at least once a year.
The best time to conduct the review is just prior to the employees Annual
Performance Evaluation. Reasons for more frequent review would include the
following:
During Special Evaluations, especially if the reason is for poor performance
When job performance begins to decline. For example, incorrect invoicing
or customer complaints
When new equipment or technology is introduced to the Department,
such as computers
When an employee is transferred, promoted, or given new job
responsibilities
MANAGEMENT PROCESS
The process by which the Training and Development Plan is reviewed and
revised is identical to the original development of the plan.
Re-evaluate and update the employees Skills Inventory
Review the employees Job Description and compare to Skills Inventory
Re-examine and determine training needs and reasons
Select appropriate training
Re-establish completion dates
If the original Training and Development Plan has been written and retained in
the employees Personnel File, the review process is easily accomplished.
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PA RTS EXC E L L E N C E
EMPLOYEE PROCESS
Each employee should be encouraged to both record and evaluate their progress
towards the goals of their own Training and Development Plan. This starts at the
beginning when the plan is being developed. Besides placing a copy of the plan
in the Personnel File, each employee should receive a copy.
By monitoring their own progress, employees become actively involved in the
plan. This process generates employee commitment and further guaranteed
success.
DOCUMENTATION
As previously mentioned, the employees Training and Development Plan should
be documented and retained in the employees Personnel File. By doing so, time
and energy can be saved in the entire personnel management process. Personnel
management relies heavily upon documentation. And, documentation relies
upon several bits and pieces of information that, when combined, represent a
clear and concise picture of an employees history.
USES
The employees Training and Development Plan can be used to:
Develop Action Plans for the employees Performance Evaluation
Determine cause(s) of performance problems
Improve employees job performance
Determine trainings cost effectiveness
Provide a systematic method of preparing employees for promotions and
transfers
Enhance employee morale
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PERSONNEL DEV E LO P M E N T
LIBRARY
Training can be in-house (internal) or outside the Dealership (external). To
protect the Dealerships investment in training materials and to ensure their
availability, a resource library should be maintained. This library should be
maintained by the Parts Manager or by his assistant. Their functions would
include maintenance and cataloguing of the various resource materials on hand.
By cataloguing, time can be saved when materials are needed, plus money can be
saved by eliminating duplication.
AVAILABLE MATERIALS
The cataloguing process should denote both the subject matter and the medium.
Training materials available cover a wide range of topics.
They include:
Customer handling
Selling techniques
Telephone use
Inventory control and management
Parts Catalogues and Price Schedules
Financial management, and many more
When considering the purchase of internal training materials, keep in mind what
you currently have on hand and the audio-visual equipment required to use
them.
Shown below is a sample Catalogue Card which can easily be replicated on a 3x5
index card.
Out
83
In
User
PA RTS EXC E L L E N C E
ANALYSIS
The first phase in training is the development of each individuals skills. After all
the Departments employees have been evaluated, this information needs to be
combined to develop the total Departments training needs. Once the total
training needs have been determined the next phase is to select and schedule the
training and development necessary.
The benefits of analysing and developing Departmental training needs are
efficiency and cost effectiveness.
INTRODUCTION
Three steps necessary to take in planning overall Department training are:
Set up budget for training
Determine if training is best conducted internally or externally
Select and schedule training
BUDGET
The budget is oftentimes a limiting factor. By determining in advance the
monies available, the selection process becomes a choice of cost versus benefit.
SCHEDULING
Once you have budgeted for and determined the training required, course
selection and scheduling can be done. Schedule the training during slow periods
to diminish disruptions. Remember, training can create a manpower shortage.
Plan for this shortage, so other employees do not become frustrated and critical
tasks go undone.
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PERSONNEL DEV E LO P M E N T
PURPOSE
Regular participation in training keeps your employees up-to-date in both
product and technological changes. They offer the most effective methods of
achieving customer satisfaction.
There are times when several employees need the same training. Often, it is
unrealistic to expect total participation due to time and expense. Instead, you
send one person to the programme anticipating the skills and knowledge to be
shared with the persons peers.
PREPARATION
The attendee should be prepared to take complete notes and possibly tape record
the key elements within the course. Let the employee know in advance of his
attending the course to ensure maximum effectiveness.
SELECTION
The best selection of a participant who will be expected to train his/her peers, is
someone that already possesses moderate proficiency in the skills to be taught
and who has good communication skills. Go over the course outline with the
participant in advance and emphasise the areas that are most important to your
Department.
Upon the participants return from the training course, debrief the person by
reviewing the manual or other handouts. Ask what the instructor stressed and
what the participant felt were key learning points. After the debriefing, begin
an outline for the topics jointly decided upon. Then determine the best method
of delivery to peers, group or one-on-one, and the equipment necessary for the
training.
Provide support. Do not expect the employee to plan and conduct the training
on his/her own. Offer the help deemed necessary and then follow through.
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PA RTS EXC E L L E N C E
PURPOSE
The purpose of evaluation is to determine its impact on the Dealership and
whether it was cost effective. Once you have evaluated the training, you can
make an informed decision as to:
PROCESS
The steps involved when evaluating a training activity include:
VALUE
Recognition for a job well done is always appreciated. At a minimum, praise
given for successful completion of a course instils pride, confidence, and
motivation. Your investment in both time and money will pay big dividends to
the Dealership.
86
PERSONNEL DEV E LO P M E N T
Termination - Evaluators
QUALIFIER
POLICY
DISCIPLINARY
LEAVE OF ABSENCE
DEALER ACTION
VALUE
87
10
10
5
5
10
10
5
5
10
10
5
5
10
PA RTS EXC E L L E N C E
Termination - Policy
INTRODUCTION
This qualifier is intended to assist the Dealership in developing a Termination
Policy that will help avoid legal action and provide appropriate documentation
should litigation occur.
NECESSITY OF POLICY
Most Dealerships hire potential candidates for long term employment. It is to
the benefit of both parties that the relationship be long lasting. The company
enjoys greater productivity, efficiency and continuity, while the employee enjoys
financial security and personal growth. However, conditions sometimes arise that
make termination unavoidable.
Managements right to terminate its employees has been infringed upon during
the last decade, however, employees are bringing legal action against their
employers with greater frequency. The legal action seeks either reinstatement of
employment or punitive damages. Due to these societal changes, it is imperative
that Dealerships have a written Termination Policy that is within the law.
It is strongly recommended that legal counsel review your termination policies
when complete.
INVOLUNTARY TERMINATION
Involuntary termination is the act of releasing an employee for either
unsatisfactory job performance or violation of company policies or procedures.
These legitimate reasons by themselves, however, need to be supported by
additional contingencies.
Verification
Job Description
Job Standards
Performance Evaluations
88
PERSONNEL DEV E LO P M E N T
Termination - Policy
Verification
Employee Handbook
Personnel Files
Employee Reprimands
VOLUNTARY TERMINATIONS
Voluntary termination is the separation of employment at the employees
request. The reasons for separation are typically:
Retirement
Medical Disability
Other Employment
RETIREMENT
Retirement plans outlining age requirements, length of service, and benefits
usually predetermine the effective date and allow it to be anticipated. There are
occasions, however, when either management or the employee desires an early
retirement. These conditions and subsequent benefits should be predetermined
and outlined in the Dealerships retirement plan.
MEDICAL DISABILITY
Medical disabilities are physical conditions or handicaps that prohibit the
employee from performing their job. Since most Dealerships have coverage,
either government sponsored or private disability insurance, the degree of
physical disability, duration and benefits are predetermined and outlined in the
insurers policy. For protection against bogus claims, it is recommended that a
designated company doctor verify the disability.
89
PA RTS EXC E L L E N C E
Termination - Policy
OTHER EMPLOYMENT
Employees leave for real or perceived better opportunities. The employees
reasons could include more pay, better benefits, better working conditions or
advancement. If the Dealership has done its job well in creating an environment
conducive to employee morale and betterment, turnover can be minimised.
Exit interviews offer an excellent opportunity for management to evaluate their
own personnel management practices. This evaluation will pinpoint areas of
non-competitiveness and in some instances recover a good employee.
EMPLOYEE DISPOSITION
In both types of termination the employee has certain rights and privileges
regarding his/her benefits. The conversion provisions should be clearly defined
in both the benefit booklet supplied by the carrier and the Termination Policy.
Medical and life insurance are usually convertible at non-group rates. Vacations,
sick days, severance pay, profit sharing and stock savings usually entail a payout
if a specific calendar date of length of service is attained. These employee
entitlements should be communicated to the employee at the time of discharge.
A sample Termination Notice is shown in Appendix A.
EXIT INTERVIEWS
Exit interviews for both voluntary and involuntary terminations should be
conducted. The purpose of the interview is:
To handle the administrative details, as explained in Employee
Disposition
To explain the reasons for termination, if involuntary
To learn the employees opinion of the Dealerships employment practices,
if voluntary
A sample Exit Interview is shown in Appendix A.
90
PERSONNEL DEV E LO P M E N T
Termination - Disciplinary
INTRODUCTION
This Qualifier is intended to assist the Dealership in developing a disciplinary
policy that will help avoid legal action and provide documentation should
litigation occur.
NECESSITY OF POLICY
Most employees want to do a good job and respect the rights of others. They also
expect fair and consistent treatment from management. To help achieve these
objectives, in addition to establishing job standards and shop rules, the
consequences for behaviour deemed inappropriate must be clearly defined.
Consequences may include employee reprimand or probation or a progressional
series of both.
REPRIMAND
Employee reprimand is the first step in disciplinary procedure. Reprimands can
be either verbal or written. If the warning is verbal, it should still be documented
in the employees personnel file. Written employee reprimands serve as a formal
notice to the employee for either a more serious or repetitious infraction. All
unsatisfactory job performances and violations of Company Policies and
Procedures should follow a disciplinary sequence outline, unless otherwise stated
in the Employee Handbook as immediate dismissal.
DISCIPLINARY SEQUENCE
Verbal warning
Written reprimand (usually third warning is cause of probation)
Suspension without pay
Specific probation period (failure to correct action results in termination)
Immediate termination
91
PA RTS EXC E L L E N C E
INTRODUCTION
This Qualifier is addressed under the section titled Termination since it
pertains to temporary separations and occasionally results in permanent
separations.
NECESSITY OF POLICY
Its a predictable occurrence that two out of three employees will experience a
Leave of Absence for one reason or another during their working life. For
purposes of providing employment security and details of an employees
entitlements, it is important that your Dealership have a policy relating to Leaves
of Absence.
As stated previously, a Leave of Absence is the temporary separation of an
employee. The permissible reasons for leaves depend upon two factors, statutory
laws and Dealership policies. Statutory laws are enacted to protect the rights of
employees. They usually address medical leaves (including maternity), jury duty,
and military duty. Other types of leave including medical leave, educational leave
and other special leaves, are offered optionally by the Dealership. Special leaves
should include the disclaimer at Managements discretion. Reasons for leave
should be clearly defined and stated in both the Policies and Procedures Manual
and the Employee Handbook.
DURATION
The length of the Leave of Absence will vary according to its nature and critical
importance of the position left open. Suggested time lines should be outlined,
with the option to extend the leave at Managements discretion. Sample time
frames are listed below.
LEAVE OF ABSENCE DURATION
Medical Leave
1 year maximum
3 months prior to due date, plus 3 months after
delivery
Jury Duty
As required
Military Duty
As required
Educational Leave
Special Leave
At managements discretion
Maternity
92
PERSONNEL DEV E LO P M E N T
Appendix A
PARTS DEPARTMENT
PERSONNEL FORMS
The forms contained in this Appendix have been arranged to correspond with
the sections of this Module that they pertain to. (Notation indicated at the top
of the page directly under the page header.) The individual forms can be utilised
by the Parts Manager in the day-to-day operation of the business.
Taken together, the forms represent the basis for a Policies and Procedures
Manual.
A-1
PA RTS EXC E L L E N C E
Appendix A - Introduction
A-2
PERSONNEL DEV E LO P M E N T
JOB DESCRIPTION
Parts Manager
PREPARED BY
(TITLE)
DEPARTMENT Parts
Functions/Purpose
DATE 21 June 20
14.
15.
16.
17.
18.
19.
Relationships
1. Reports to: Owner (General Manager, or Parts and Service
Director).
2. Supervises: All personnel and managers in the Parts
Department.
Standards of Performance
1. Parts Department sales meet monthly objectives established
by Dealer and Parts Management.
2. Adjustment-P & A Inventory is +/
% of
total inventory.
3. Parts availability is
%.
4. Parts true turnover is 3 times per year.
5. Stock order purchases are a minimum of 80% of total
purchases.
6. Gross return on inventory invested (GROII) is
%.
7. Parts returns are no more than
per year.
8. Lost time accidents total up to no more than
per year.
9. Cars tied up awaiting parts remain below
per 100 Repair Orders.
A-3
PA RTS EXC E L L E N C E
JOB DESCRIPTION
PREPARED BY
(TITLE)
DEPARTMENT Parts
Functions/Purpose
DATE 21 June 20
Relationships
1. Reports directly to Parts Manager.
2. Supervises counter salespersons, stockers, drivers.
3. Maintains close working relationships with inventory
control clerk and wholesale salespersons. Contact assures
complete and accurate status of inventory and wholesale
customers.
Standards of Performance
1. Parts and Accessory sales of $
are generated
per counterperson/month.
2. Stock order purchases are a minimum of 80% of total
purchases.
3. Lost time accidents total up to no more than
per 100 Repair Orders.
4. Cars tied up awaiting parts remain below
per 100 Repair Orders.
5. Expenditures for shop and office supplies meet objectives
established by Assistant Parts Manager and Parts Manager.
6. Unannounced inspections of Parts Department show it to
be clean, neat, attractive and free of clutter.
A-4
PERSONNEL DEV E LO P M E N T
JOB DESCRIPTION
Wholesale Salesperson
(TITLE)
DEPARTMENT Parts
PREPARED BY
Functions/Purpose
DATE 21 June 20
A-5
Relationships
1. Reports directly to Parts Manager.
2. Supervises no one.
3. Maintains close working relationships with assistant parts
manager, stockers, and driver on the preparation and
delivery of parts to wholesale customers.
Standards of Performance
1. Wholesale sales of $
are generated per
month.
2. No complaints are received from wholesale customers about
the service they receive.
3. No complaints are received from inventory control clerks,
stockers, and drivers regarding legibility of wholesale part
orders.
4. No more than 5% bad debt experience with credit
customers.
PA RTS EXC E L L E N C E
JOB DESCRIPTION
Counter Salesperson
PREPARED BY
(TITLE)
DEPARTMENT Parts
Functions/Purpose
DATE 21 June 20
Relationships
1. Reports directly to Assistant Parts Manager.
2. Supervises no one.
3. Maintains close working relationship with technicians and
service advisors to assure good interdepartmental relations
and customer satisfaction.
Standards of Performance
1. Counter retail sales of $
are generated
per month.
2. Internal sales of $
are generated per month.
3. No complaints are received from customers or other
departments about treatment or assistance given.
4. Customers, service advisors, technicians, and the business
office can read parts information on Counter Ticket or
Repair Order.
5. No warranty charge-backs due to missing defective parts or
accessories needed to be scrapped.
6. All deadlines and promises are kept for emergency and
special ordered parts.
7. Is proficient in the use of parts catalogues and location of
current stocking bin.
A-6
PERSONNEL DEV E LO P M E N T
JOB DESCRIPTION
Stocker
PREPARED BY
(TITLE)
DEPARTMENT Parts
Functions/Purpose
DATE 21 June 20
Relationships
1. Reports directly to Assistant Parts Manager.
2. Supervises no one.
3. Maintains close working relationship with inventory
control clerk, wholesale salespersons, counter salespersons,
and drivers on the shipping and receiving of parts.
Standards of Performance
1. Dealerships shipping and receiving procedures are adhered to.
2. Promised delivery times to customers are kept.
3. Inventory is organised and stocked in correct locations with
no more than
parts found in wrong spot
monthly.
4. 100% of bin labels are accurate and up-to-date.
5. All emergency and special orders are tagged with
notification given to appropriate person.
6. All consigned inventory to body shop is accounted for.
7. Accurate information and documentation is provided to
inventory control clerk for submission of transportation or
shortage claims.
A-7
PA RTS EXC E L L E N C E
JOB DESCRIPTION
Driver
PREPARED BY
(TITLE)
DEPARTMENT Parts
Functions/Purpose
DATE 21 June 20
Relationships
1. Reports directly to Assistant Parts Manager.
2. Supervises no one.
3. Maintains close working relationship with counter salespersons and wholesale salespersons to assure proper
handling of customers and suppliers.
Standards of Performance
1. No complaints are received from customers or suppliers
about the service they receive.
2. Details of dealerships parts return policy are adhered to.
3. Inventory control clerk can read and understand
information written on delivery receipts.
4. Delivery truck experiences no downtime, except for
preventative maintenance.
5. Sheet metal and other fragile parts are received by
customers and suppliers in good condition.
6. Hourly contact with dealership is maintained.
A-8
PERSONNEL DEV E LO P M E N T
JOB DESCRIPTION
PREPARED BY
(TITLE)
DEPARTMENT Parts
Functions/Purpose
DATE 21 June 20
Relationships
1. Reports directly to Parts Manager.
2. Supervises no one.
3. Maintains close working relationships with all parts
personnel to assure complete and accurate inventory
information.
Standards of Performance
1. Dollar value of inventory control system and physical
inventory are within
%.
2. True turnover is
times per year.
3. Stock outs, shortages, and incorrect bin locations occur no
more than
times each month.
4. Stock order purchases are accurate and on time.
5. Computer downtime occurs a maximum of
times per year.
6. Cars tied up awaiting parts remain below
per 100 Repair Orders.
A-9
PA RTS EXC E L L E N C E
Appendix A - Hiring
(PLEASE PRINT)
DATE OF APPLICATION
POSITION(S) APPLIED FOR
REFERRAL SOURCE:
ADVERTISEMENT
EMPLOYMENT AGENCY
NAME
WALK-IN
LAST
ADDRESS
NUMBER
TELEPHONE (
FIRST
STREET
FRIEND
RELATIVE
OTHER
MIDDLE
CITY
STATE
ZIP CODE
AREA CODE
IF EMPLOYED AND YOU ARE UNDER 18, CAN YOU FURNISH A WORK PERMIT?
YES
NO
NO
NO
NO
NO
NO
FULL-TIME
PART-TIME
SHIFT WORK
TEMPORARY
YES
NO
YES
NO
YES
NO
Page 1 of 4
A-10
PERSONNEL DEV E LO P M E N T
Appendix A - Hiring
YES
NO
YES
NO
GOOD
FAIR
SPEAK
READ
WRITE
LIST PROFESSIONAL, TRADE, BUSINESS OR CIVIC ACTIVITIES AND OFFICES HELD.
(EXCLUDE THOSE WHICH INDICATE RACE, COLOUR, RELIGION, SEX OR NATIONAL
ORIGIN)
GIVE NAME, ADDRESS AND TELEPHONE NUMBER OF THREE REFERENCES WHO ARE
NOT RELATED TO YOU AND ARE NOT PREVIOUS EMPLOYERS.
Page 2 of 4
A-11
PA RTS EXC E L L E N C E
Appendix A - Hiring
EMPLOYMENT EXPERIENCE
START WITH YOUR PRESENT OR LAST JOB. INCLUDE MILITARY SERVICE ASSIGNMENTS AND VOLUNTEER ACTIVITIES. EXCLUDE ORGANISATION NAMES WHICH
INDICATE RACE, COLOUR, RELIGION, SEX OR NATIONAL ORIGIN.
EMPLOYER
DATES EMPLOYED
FROM
TO
WORK PERFORMED
ADDRESS
JOB TITLE
HOURLY RATE/SALARY
STARTING
FINAL
SUPERVISOR
REASON FOR LEAVING
2.
EMPLOYER
DATES EMPLOYED
FROM
TO
WORK PERFORMED
ADDRESS
JOB TITLE
HOURLY RATE/SALARY
STARTING
FINAL
SUPERVISOR
REASON FOR LEAVING
3.
EMPLOYER
DATES EMPLOYED
FROM
TO
WORK PERFORMED
ADDRESS
JOB TITLE
HOURLY RATE/SALARY
STARTING
FINAL
4.
EMPLOYER
DATES EMPLOYED
FROM
TO
WORK PERFORMED
ADDRESS
JOB TITLE
HOURLY RATE/SALARY
STARTING
FINAL
SUPERVISOR
REASON FOR LEAVING
Page 3 of 4
A-12
PERSONNEL DEV E LO P M E N T
Appendix A - Hiring
EDUCATION
ELEMENTARY/
PRIMARY
HIGH
SCHOOL
COLLEGE/
UNIVERSITY
4 5 6 7 8
9 10 11 12
GRADUATE/
PROFESSIONAL
SCHOOL NAME
YEARS COMPLETED
(CIRCLE)
DIPLOMA/DEGREE
DESCRIBE COURSE
OF STUDY
DESCRIBE SPECIALISED
TRAINING, APPRENTICESHIP
SKILLS AND EXTRA
CURRICULAR ACTIVITIES
HONORS RECEIVED:
AGREEMENT
I CERTIFY THAT ANSWERS GIVEN HEREIN ARE TRUE AND COMPLETE TO THE BEST OF MY
KNOWLEDGE. I AUTHORISE INVESTIGATION OF ALL STATEMENTS CONTAINED
IN THIS APPLICATION FOR EMPLOYMENT AS MAY BE NECESSARY IN ARRIVING AT
EMPLOYMENT. I UNDERSTAND THAT THIS APPLICATION IS NOT AND IS NOT
INTENDED TO BE A CONTRACT OF EMPLOYMENT.
IN THE EVENT OF EMPLOYMENT, I UNDERSTAND THAT FALSE OR MISLEADING
INFORMATION GIVEN IN MY APPLICATION OR INTERVIEW MAY RESULT IN DISCHARGE. I
UNDERSTAND, ALSO, THAT I AM REQUIRED TO ABIDE BY ALL RULES AND REGULATIONS
OF THE COMPANY.
SIGNATURE
DATE
YES
NO
YES
NO
REMARKS
EMPLOYED
JOB TITLE
BY
HOURLY/RATE
DATE OF
EMPLOYMENT
DEPARTMENT
DATE
Page 4 of 4
A-13
PA RTS EXC E L L E N C E
Appendix A - Hiring
POSITION
INTERVIEWER
DEPARTMENT
DATE
INTERVIEWER
INTERVIEW FURTHER?
YES
NO
APPEARANCE
BEARING
INDIFFERENCE
TO ATTIRE
& GROOMING
NO BEARING,
LACKS CONFIDENCE,
SLOVENLY POSTURE
CARELESS
IN ATTIRE,
POOR GROOMING
OFTEN APPEARS
UNCERTAIN,
POOR POSTURE
FUNCTIONAL
ATTIRE, NEATLY
GROOMED
HOLDS
SELF WELL, SEEMS
CONFIDENT
SPEAKS WELL,
EXPRESSES IDEAS
ADEQUATELY
WELL
GROOMED
SURE OF SELF,
REFLECTS
CONFIDENCE
SPEAKS, THINKS
CLEARLY, WITH
CONFIDENCE
IMMACULATE
ATTIRE
& GROOMING
HIGHLY
CONFIDENT,
INSPIRES OTHERS,
ASSERTS PRESENCE
EXCEPTIONAL
SPEAKS CLEARLY,
CONCISELY WITH
CONFIDENCE IDEAS
WELL THOUGHT OUT
JOB
KNOWLEDGE
MOTIVATION
PERSONALITY
NONE AS
PERTAINS TO
THIS POSITION
NONE, APATHETIC,
INDIFFERENT,
DISINTERESTED
UNPLEASANT
WILL NEED
CONSIDERABLE
TRAINING
DOUBTFUL
INTEREST
IN POSITION
SLIGHTLY
OBJECTIONABLE
BASIC, BUT
WILL LEARN
ON THE JOB
SINCERE DESIRE
TO WORK
LIKEABLE
STRONG INTEREST
IN POSITION,
ASKS QUESTIONS
PLEASING
WELL VERSED IN
POSITION, LITTLE
TRAINING NEEDED
EXTREMELY WELL
VERSED, ABLE TO
WORK WITHOUT
FURTHER TRAINING
HIGHLY
MOTIVATED,
EAGER TO WORK,
ASKS MANY
QUESTIONS
EXPRESSION
UNCOMMUNICATIVE
CONFUSED
THOUGHTS, POOR
VOCABULARY
POOR SPEAKER,
HAZY THOUGHTS,
IDEAS
EXTREMELY
PLEASING
CHARMING
INDIVIDUAL
OVERALL IMPRESSION:
UNSATISFACTORY
MARGINAL
SATISFACTORY
ADDITIONAL COMMENTS
A-14
VERY GOOD
EXCELLENT
PERSONNEL DEV E LO P M E N T
Appendix A - Hiring
INTERVIEWING TIPS
ASSURE PRIVACY avoid interruptions when interviewing an applicant.
PUT APPLICANT AT EASE be warm and friendly, create a positive
atmosphere.
yes or no. Get them to open up with questions like How do you feel about
avoid inquisitions or the third degree; you need accurate, definite information.
information as possible that will lead you to making a good hiring decision.
KNOW YOUR FAIR EMPLOYMENT LAWS and do not make preemployment inquiries that are not permissible.
A-15
PA RTS EXC E L L E N C E
Appendix A - Hiring
COMPANYS NAME
CONTACTED
TITLE
CONTACTED BY
TELEPHONE
1. EMPLOYMENT DATES
FROM
POSITION
DATE
TO
QUANTITY OF WORK
ATTENDANCE
4. WORKING RELATIONSHIPS
5. WHY DID THEY LEAVE?
6. ELIGIBILITY TO REHIRE
IF NO/WHY?
7. ADDITIONAL COMMENTS
A-16
YES
NO
PERSONNEL DEV E LO P M E N T
Appendix A - Hiring
EMPLOYMENT NOTICE
DATE
NAME
POSITION
DATE HIRED
PAY
DEPARTMENT
ASSIGNED CLOCK NUMBER
SALARY
HOURLY
DUTIES
SUPERVISOR
ORIENTATION ASSIGNED
COMMENTS
EMPLOYEES SIGNATURE
DATE
MANAGERS APPROVAL
DATE
A-17
PA RTS EXC E L L E N C E
A-18
PERSONNEL DEV E LO P M E N T
A-19
PA RTS EXC E L L E N C E
A-20
PERSONNEL DEV E LO P M E N T
EXCELLENCE REPORT
Employee
OCCURRENCE OF EXCELLENCE
Position
Date
Department
Time
Clock Number
Location
Supervisors Remarks
Employee Remarks
Action Taken
Employee Signature
Date
Supervisor Signature
Date
Submitted By
Date
A-21
PA RTS EXC E L L E N C E
A-22
PERSONNEL DEV E LO P M E N T
To
Shift
Rate
Re-Hired
Promotion
Demotion
Resignation
Transfer
Retirement
Merit Increase
Layoff
Union Scale
Discharge
Until
Change Authorised By
Date
Change Approved By
Date
A-23
PA RTS EXC E L L E N C E
Clock No.
Health Care
Retirement Benefits
Basic Medical:
Social Security:
Explanation of Coverages
Explanation of payments
and age requirements
Non-Contributory:
Explanation of payments
and age requirements
Dental:
Contributory:
Explanation of Coverages
Explanation of payments
and age requirements
Disability Income
Vision:
Explanation of Coverages
Major Medical:
Explanation of payments
and duration
Layoff:
Explanation of Coverages
Explanation of payments
and duration
A-24
PERSONNEL DEV E LO P M E N T
Stock Savings
Non-contributory:
Social Security
Contributory
Lump-Sum Payments:
Cash:
Non-Contributory Life
Value
Contributory Life
Stock Savings
Retirement (contributory)
Social Security
Total Value:
Profit Sharing
Amount
Total:
Profit Sharing
Additional Benefits:
Accidental Death
Accidental Dismemberment
Earned Total:
Amount earned previous years
Amount
Total of Benefits
Earned Year to Date:
Amount earned and date payable
Salary
Incentives Earned
Cost of Benefits
Survivor Benefits
Retirement
A-25
Amount
PA RTS EXC E L L E N C E
Appendix A - Communication
Page 1 of 2
Attending:
Date:
Major Topic:
Department
Notes:
Time
Discussion Leader
Subject
A-26
Purpose
Resolution
PERSONNEL DEV E LO P M E N T
Appendix A - Communication
Page 2 of 2
Team Members:
Resolution:
Resources
Plan
Phases
Cost
Time
Frame
Equipment
Required
A-27
Physical
Space
Required
People
Involved
Impact on
Operations
PA RTS EXC E L L E N C E
Appendix A - Communication
Manager:
Date:
Major Topic:
Attending
Notes:
Notes:
Time:
Time:
Time:
Time:
Time:
Time:
Time:
A-28
PERSONNEL DEV E LO P M E N T
SKILLS INVENTORY
DATE
RATING SCALE
EMPLOYEES
3=TRAINED, EXPERIENCED
2=TRAINED, NEEDS
EXPERIENCE
1=NEEDS TRAINING,
SOME EXPERIENCE
0=NEEDS TRAINING,
NEEDS EXPERIENCE
JOB SKILLS
1. PART IDENTIFICATION
2. PART NOMENCLATURE
3. CATALOGUE REFERENCING
4. PRICING AND INVOICING
5. ACCESSING COMPUTER DATA
6. INPUTTING COMPUTER DATA
7. RECEIVING ORDERS
8. SHIPPING ORDERS
9. SELLING
10. TELEPHONE HANDLING
11. DRIVING
12. PARTS AND BIN LOCATION
13. HOUSEKEEPING AND SAFETY
14. WARRANTY SCRAP HANDLING
15. CORE HANDLING
16. INVENTORY CONTROL
17.
18.
19.
20.
A-29
PA RTS EXC E L L E N C E
DEPARTMENT
CLOCK NUMBER
POSITION
DATE
TYPE
EVALUATION
REGULAR OR SPECIAL
ACTIVITY SELECTION
*REASONS FOR
TRAINING
TRAINING NEEDS
FOLLOW-UP
COMPLETION
DATE
TRAINING/
DEVELOPMENT
ACTIVITY
LOCATION
A-30
PLANNED
ACTUAL
PERSONNEL DEV E LO P M E N T
TRAINING EVALUATION
EMPLOYEE
COURSE
CLOCK NUMBER
INSTRUCTOR
DEPARTMENT
DATE
POSITION
SPONSORED BY
YES NO
A-31
PA RTS EXC E L L E N C E
Appendix A - Termination
TERMINATION NOTICE
VOLUNTARY
INVOLUNTARY
TYPE:
TYPE:
REPORTED DATE
EFFECTIVE DATE
LAYOFF
LAYOFF
EMPLOYEE
RELEASE
RELEASE
POSITION
DISCHARGE
DISCHARGE
DEPARTMENT
IMMEDIATE
DISMISSAL
IMMEDIATE DISMISSAL
CLOCK NUMBER
REASON
DATE
DISABILITY
DATE
LIFE INSURANCE
DATE
PROFIT SHARING
DATE
OTHER
DATE
EMPLOYEE SIGNATURE
SUPERVISOR SIGNATURE
WITNESS
A-32
PERSONNEL DEV E LO P M E N T
Appendix A - Termination
EXIT INTERVIEW
DATE
EMPLOYEE
POSITION
DEPARTMENT
CLOCK NUMBER
DATE HIRED
DATE OF SEPARATION
FORWARDING ADDRESS
B. DISCHARGE:
C. LAYOFF:
DISLIKED TYPE
OF WORK
INABILITY TO
HANDLE JOB
REDUCTION IN
WORK FORCE
INEFFICIENT
TEMPORARY WORK
UNSATISFACTORY
WORKING CONDITIONS
UNCOOPERATIVE
D. RETIREMENT
DISLIKED SUPERVISOR
SECURED BETTER
POSITION
BUSINESS FOR SELF
RULES VIOLATION
ABSENTEEISM OR
TARDINESS
INSUBORDINATION
AGE
MEDICAL
EARLY
OTHER
PHYSICAL CONDITION
RETURNING TO SCHOOL
FAMILY CIRCUMSTANCES
LEAVING THE CITY
OTHER
NEW EMPLOYER
LOCATION
NATURE OF WORK
PAY
HOURS
YES
A-33
NO
PA RTS EXC E L L E N C E
Appendix A - Termination
PROBATIONARY NOTICE
DATES
ON
EMPLOYEE
POSITION
DEPARTMENT
CLOCK NUMBER
TYPE OF PROBATION:
NEW HIRE
VIOLATION OF POLICIES
AND PROCEDURES
UNSATISFACTORY
PERFORMANCE
PROBATIONARY CAUSE
PREVIOUS DISCIPLINE
DATE
TIME
LOCATION
DETAILS
NONE
VERBAL REPRIMAND
NUMBER:
DATES:
WRITTEN REPRIMAND
NUMBER:
DATES:
ACTION PLAN:
SUPERVISOR REMARKS:
EMPLOYEE REMARKS:
SIGNATURES: EMPLOYEE
SUPERVISOR
DATE
DATE
DATE
A-34
OFF
PERSONNEL DEV E LO P M E N T
Appendix A - Termination
EMPLOYEE REPRIMAND
VERBAL
WRITTEN
DATE
NATURE OF REPRIMAND:
EMPLOYEE
POSITION
DEPARTMENT
CLOCK NUMBER
MISCONDUCT
ATTITUDE
TARDINESS
OTHER
OCCURRENCE OF VIOLATION
DATE
TIME
LOCATION
FREQUENCY OF VIOLATION
1ST WARNING
2ND WARNING
3RD WARNING
SUPERVISOR REMARKS:
EMPLOYEE REMARKS:
SIGNATURES: EMPLOYEE
DATE
SUPERVISOR
DATE
DATE
A-35
PA RTS EXC E L L E N C E
Appendix A - Termination
INCIDENT
EMPLOYEE(S) INVOLVED
WHAT HAPPENED? ACCURATE STATEMENT:
NO
YES
NO
YES
NO
YES
NO
YES
NO
NO
NO
YES
YES
NO
Page 1 of 2
A-36
PERSONNEL DEV E LO P M E N T
Appendix A - Termination
YES
NO
YES
NO
YES
NO
YES
NO
YES
NO
UNION REPRESENTATIVE
OTHERS
TAKE ACTION
DID YOU TALK TO THE EMPLOYEE IN PRIVATE?
YES
NO
YES
NO
YES
NO
A-37
PA RTS EXC E L L E N C E
Appendix A - Termination
ACCIDENT REPORT
EMPLOYEE
DATE OF REPORT
POSITION
DATE OF ACCIDENT
DEPARTMENT
TIME OF ACCIDENT
CLOCK NUMBER
LOCATION OF ACCIDENT
AGE
SEX
LENGTH OF EMPLOYMENT
INJURIES INVOLVED
YES
NO
PROPERTY DAMAGE
YES
NO
NO
DATE REPORTED
DESCRIPTION OF ACCIDENT:
DETAIL OF WHAT EMPLOYEE WAS DOING AND WHAT TOOLS, EQUIPMENT, STRUCTURES OR FIXTURES WERE INVOLVED
NATURE OF INJURIES:
PREVENTION RECOMMENDATIONS:
PREVENTION FOLLOW-UP
SUPERVISORS SIGNATURE:
DEPARTMENT MANAGERS COMMENTS:
A-38
YES
YES
NO
NO
PERSONNEL DEV E LO P M E N T
Appendix A - Termination
NATURE OF REQUEST
POSITION
DEPARTMENT
PERSONAL
CLOCK NUMBER
FUNERAL
DURATION OF LEAVE
JURY DUTY
START DATE
MILITARY
RETURN DATE
OTHER
ACTION TAKEN:
APPROVED
REASON:
UNAPPROVED
BY
DATE
BY
DATE
LENGTH OF TIME
LENGTH OF TIME
Page 1 of 2
A-39
PA RTS EXC E L L E N C E
Appendix A - Termination
LENGTH OF TIME
LENGTH OF TIME
LENGTH OF TIME
LENGTH OF TIME
LENGTH OF TIME
LENGTH OF TIME
DATE:
SUPERVISOR SIGNATURE:
DATE:
WITNESS:
DATE:
Page 2 of 2
A-40
PERSONNEL DEV E LO P M E N T
Appendix B
EMPLOYEE HANDBOOK
EXAMPLE
Appendix B is an example of an Employee Handbook. It is a sample of an
Employee Handbook from an actual Dealership. It is not all-inclusive. The test
of this Module goes into more detail than what is provided in this example.
PA RTS EXC E L L E N C E
PERSONNEL DEV E LO P M E N T
INTRODUCTION
Welcome to this Dealership! We are an Automobile Dealership
competing with many others, but we are a unique organisation. We have
established a reputation through honesty, competitive sales, and service practices.
We believe that good reputation and customer satisfaction are the answers to a
successful dealership. And we try to practice our philosophy of making this
Dealership the best place to work and do business in our community.
It is our belief that a well informed employee makes the best
employee. This handbook provides information concerning our
company policies and your benefits, and should be studied. Although this is not
primarily a book of rules, some are included. These rules are understandable and
are necessary. Proper conduct and consideration for your fellow employees will
help us to keep rules at a minimum.
All the rights, prerogatives and functions of management which are not expressly
restricted or modified by any provisions of these policies are reserved and
retained exclusively to the company.
The keynote to this organisation is teamwork and mutual respect, which will
serve our customer, company, and ourselves. We welcome you to the team and
hope that your stay with us will be a long, pleasurable and profitable one.
By accepting this position, you have accepted the responsibility of
conducting yourself in a manner exemplary of the product you
represent.
B-1
PA RTS EXC E L L E N C E
ATTENDANCE
You are required to report to your job each working day except for illness or
special reasons. Since we are not a large company, you are very important to the
smooth operation of the Dealership. Absence creates burdens that are generally
difficult to deal with and results in dissatisfied customers. It is imperative that
you always call in if you will not be at work or if you will be late so other plans
can be made. Repeated, unexcused absence can affect advancements and
monetary increase as well as provide grounds for dismissal.
TARDINESS
Tardiness is an abbreviated form of absence which may, from time to time,
legitimately occur. However, chronic and habitual tardiness is not permissible
due to the unfair burden placed on the company, the customers, and your fellow
employees. Chronic tardiness is also grounds for dismissal.
CUSTOMER VEHICLES
In the event any employee damages a customers vehicle, company vehicle or
demonstrator, the employee is liable to pay the deductible portion of any
damages up to $250.00 per accident. All accidents must be reported to your
supervisor immediately.
B-2
PERSONNEL DEV E LO P M E N T
WORKING HOURS
Sales Department
Service Department
Parts Department
TIME RECORDS
If your particular job requires that you punch a clock, you will be given a time
card and told which clock to use. The clock must be punched in the morning
before you start to work, punched in and out for lunch and punched out at the
end of the work period. NO ONE SHOULD PUNCH TIME CARDS FOR
SOMEONE ELSE. If your particular job does not require you to punch a time
clock, it will be necessary for your supervisor to keep a record of your time
worked.
To assure that all operations are covered during the working day, please abide by
the lunch periods established by your supervisor.
AFTER HOURS
If a department head or employee wishes to use the premises after
normal working hours, he or she must obtain permission from the General
Office Manager or General Service Director.
ALCOHOL/DRUGS
No alcoholic beverages or drugs are allowed on company premises. No employee
will be permitted to work under the influence of alcohol or drugs. It affects safety
and public image. Any violation of above is grounds for dismissal.
THEFT
Grounds for immediate dismissal.
B-3
PA RTS EXC E L L E N C E
FIGHTING
Grounds for immediate dismissal.
CHILDREN
Employees may not bring their children into the dealership during their working
hours. Children are easily injured and readily become a nuisance to other
employees, customers or property.
CONDUCT
No negative or obscene language will be used on company premises. Personnel
will conduct themselves in a courteous manner.
CASH ADVANCES
This Dealership is not set up to handle cash advances or loans to employees.
PRODUCTIVITY
We ask each employee to work with personal and corporate pride. We expect
each employee to put in a full days work so that maximum productivity is
achieved. Productivity means high quality work in sufficient quantities with a
minimum of errors and lost time. Productivity is directly related to profitability
and job security.
PARKING
Rear of lot for all employees.
YOUR SUPERVISOR
Your supervisor is your primary superior and is responsible for the performance
of the section in which you work. You are required to adhere to his/her directive.
In a situation where you and your supervisor disagree or need additional input,
the owners door is open to both of you by appointment. In an emergency you
may request immediate attention. In most cases a meeting can be set up within
24 hours.
B-4
PERSONNEL DEV E LO P M E N T
WORK ON CARS
Any employee who deliberately performs substantial unauthorised work on a
vehicle; claims that work has been done or parts replaced when such is not the
case or performs any other act of fraud or deceit which can seriously jeopardise
the public or legal position of the company, may be discharged.
TELEPHONE CALLS
Employees are not encouraged to make or receive telephone calls during working
hours. However, family personal duties sometimes require such calls. Since there
are no pay telephones on the premises, employees may use company telephones
for short calls. Excessive incoming or outgoing calls are not permitted. The
company telephone will NOT be used for long distance calls without permission
from your department head. Should a customer wish to use the telephone, direct
the customer to the department head who will place the call for the customer.
PARTS TRUCK
Parts Truck is secured inside the building at night and on weekends. No smoking
while in the Parts Truck, customer cars, or, company cars and trucks. Parts
Trucks must be serviced and maintained (washed). Keys are to be returned to the
General Service Department when not in business use.
COMPANY PROPERTY
The primary purpose of all company property is to generate business for the
company and income for all employees. Therefore, it must not be neglected or
abused. Deliberate or negligent damage to company property is grounds for
disciplinary action and/or dismissal.
HOUSEKEEPING
Employees are required to maintain individual work areas in an uncluttered,
clean, neat and tidy condition in compliance with departmental housekeeping
policies and procedures.
B-5
PA RTS EXC E L L E N C E
EDUCATION EXPENSES
The dealership is extremely interested in the education of each employee where
such education will serve to improve the quality of the employees job
performance. Consequently, the dealership will assist in tuition expense for
employees who successfully complete approved courses. Consult your supervisor
for details.
Sales and Mechanical courses are mandatory as seen fit by your supervisor.
Refusal to attend are grounds for dismissal.
SUGGESTIONS
Suggestions made by employees which management consider valuable to
productivity and profitability will be carefully considered.
MOONLIGHTING
Mechanics may not perform work on automobiles they do not personally own
unless such work is done through the service desk at normal prices.
B-6
PERSONNEL DEV E LO P M E N T
Employees may not engage in any commercial activities which are in direct
competition with this Dealership unless they first terminate their employment
with the Dealership.
Employees may not work for any company in direct competition with this
Dealership. No employee is permitted to sell automobiles in direct competition
with the Dealership. Nor may any employee solicit the sale of a potential tradein or inventory purchase for the purpose of either re-selling the car or
undermining the dealerships ability to buy the car at wholesale.
When an individual approaches an employee of the company for the purpose of
selling his or her vehicle, said individuals shall be directed to the owner.
Under no circumstances will an employee buy or attempt to buy such vehicle or
engage in discussions of value regarding vehicles.
Any of these activities are grounds for dismissal.
REPAIR WORK
A signature will be obtained on all Repair Orders prior to commencing work.
A telephone call confirmation is required when a signature is not available.
B-7
PA RTS EXC E L L E N C E
PARTS DEPARTMENT
The Parts Manager is solely responsible for the inventory.
ADVANCEMENT
The Dealership recognises the necessity of personal advancement within the
organisation as a strong indication of an employees value to the company. As
jobs become available, we try to promote from within whenever possible.
COMPANY AUTOMOBILES
Automobiles are provided to sales personnel for demonstration purposes and in
some cases to management personnel. These automobiles must be washed
regularly, kept clean inside and the gas tank kept at least half full. The car must
be properly maintained, serviced and cared for so as not to diminish its value.
No accessories will be added or alterations made without permission of the
owner.
The driver will be expected to pay fully the deductible portion of any damage
(up to a maximum of $250.00 per accident), and for all parking and traffic
violations, which must be reported to your supervisor immediately to assure
insurance coverage.
Said demonstrators are to be used only by personnel to whom they are issued and
are not to be driven or lent out to customers or members of an employees family.
RENTAL CARS
Rental cars issued to the service department are in use for three (3) very specific
reasons:
A. Provide a convenience for our customers.
B. To create additional income for the service department.
C. Generate additional business.
B-8
PERSONNEL DEV E LO P M E N T
Our insurance covers these vehicles when driven by a customer whose car is in
our shop for service and/or repair only. The customer will sign a completed
rental agreement and be charged the minimum rental fee per day. These
automobiles will be used for no other purpose and they may be sold anytime by
the sales department.
A daily record will be kept by service management of the rental in our log book.
DEMONSTRATION DRIVES
Salespersons will accompany customers on a demonstration drive. UNDER NO
CIRCUMSTANCES will a customer be allowed to drive a new or used car
without being accompanied by a salesperson.
TERMINATION NOTICE
All employees who are resigning must give a minimum two (2) weeks notice
which may be waived at managements option. This helps us in finding a suitable
replacement for you and providing you with a good recommendation for future
employers.
Seniority will be broken and employment terminated for any one of the
following reasons:
A. Dismissal for just cause.
B. Resigning (quitting).
C. Absence from work for three consecutive days without reporting the reason
within 24 hours of first day of absence.
D. If an employee is laid off for a period of six months.
E. Violations of company policy or posted rules.
LUNCHTIME
Length and time of lunch period is one (1) hour.
B-9
PA RTS EXC E L L E N C E
MILITARY DUTY
The company recognises the importance of the military service and,
consequently, observes the following policies:
1. You will be permitted military leave for your annual training exercises if you
provide a one month advance notice of the dates and location. Such notice
must come from your military unit.
2. Participation in weekend drills and annual training exercises will not affect
your regular time off for paid vacation.
LEAVES OF ABSENCE
Leaves of absence may be granted for compelling personal reasons. Consult your
supervisor if you are in need of such leave.
ADDRESSES
It shall be the employees responsibility to keep the company informed of their
current addresses and telephone numbers. The company shall rely on this
address for communications by mail.
PAYDAY
Pay week runs Tuesday thru Monday. All employees are paid weekly, each
Wednesday, for work completed the previous week. Your cheque is normally
given to you on your payday before noon in your work area by either your
supervisor or another member of the management team.
B-10
PERSONNEL DEV E LO P M E N T
ACCOUNTING ERRORS
Any discrepancies or questions about your pay should be raised immediately and
answered to your satisfaction on the day you are paid. The accounting staff
makes every effort to be accurate but mistakes can occur. Please bring any such
error to the immediate attention of your supervisor for correction.
VACATIONS
Every employee is entitled to a paid vacation of one to three weeks. Vacations
may be taken at any time of the year but may not be carried over or credited from
one calendar year to the next. Choice of vacation dates must be cleared with the
department head who will approve dates. If a conflict exists, preference will be
given to seniority. The schedule to time earned is as follows:
1 WEEK
2 WEEKS
3 WEEKS
B-11
PA RTS EXC E L L E N C E
HOLIDAYS
The following holidays are observed by this organisation for which you will be
paid;
NEW YEARS DAY
GOOD FRIDAY
CHRISTMAS DAY
SALES DELIVERIES
Salespersons will ensure that all new and used cars are checked out six (6) hours
prior to delivery, i.e. car runs properly, is washed, serviced, lights, wipers, etc. are
working. Car has jack, tools, spare wheel and tyre. Key number is put on jacket
and on service book. Have all papers prepared. Last minute checking of
deliveries will NOT be tolerated.
Explain car, service book and warranty to customer, and if there is a trade-in
involved, check out the trade before the customer leaves. Make sure the
equipment is intact, that is, has tools, jack and a spare and is in the same
condition as it was when appraised.
DEALER PLATES
Personnel who are issued dealer plates are solely responsible for them and will
comply as follows:
A. Sign for them annually.
B. Pay any parking tickets booked to their specific number.
C. In the event of loss, report time, date, plate number to General Manager and
police within twenty-four (24) hours.
D. Are responsible for cost of replacing lost dealer plates.
E. Will not lend dealer plates to anyone.
F. Will not use dealer plates for any reason other than company business.
MANAGERS MEETING
There is a managers meeting held in the owners office at 10.00am every
Wednesday. ALL managers will attend.
Any issues affecting employees resulting from a managers meeting will be posted
within forty-eight (48) hours.
B-12
PERSONNEL DEV E LO P M E N T
PETTY CASH
Petty cash will only be used in an emergency. A petty cash slip will be signed by
recipient, approved and countersigned by management.
FIXED ASSETS
Department head must get approval from owner for any expenditures of more
than $50.00.
INJURIES
All accidents and/or injuries must be recorded by the department head and
brought to the attention of the owner immediately.
PERSONAL BELONGINGS
Personnel are requested not to leave any personal belongings on company
premises as our insurance policy does not cover same.
CAR KEYS
The following procedures must be adhered to: Once a car is in the showroom,
the keys will be removed and hung on keyboard. Conversely, cars left in the
service department will have the keys removed and returned to the service
dispatcher.
DETAILED CARS
Once a used car (or retired demonstrator) has been detailed (serviced,
reconditioned, waxed and polished) the detailed car is not to be driven other
than in the selling cycle. An employee failing to observe this policy will be
responsible for the cost of a re-detail.
B-13
PA RTS EXC E L L E N C E
TELEPHONE PERSONALITY
Courtesy and efficiency on the telephone are of prime importance. Please answer
calls promptly. Be ready to talk as soon as you pick up the receiver.
Identify yourself and the Dealership. The conversation cannot begin until the
caller knows he has reached the right place.
Speak distinctly and directly into the receiver and always keep writing material
near the telephone.
In asking a caller to wait, politely explain the reason for the delay and lay the
receiver gently down.
When leaving the office, be sure to tell the designated person where you are
going and when you will return.
Even though a telephone call may interrupt an important conference or distract
you from concentration at the moment, always treat the call with utmost
courtesy.
DECORATIONS
Nothing will be hung on any walls without prior approval of the administrative
manager.
B-14
PERSONNEL DEV E LO P M E N T
DISCRIMINATION
These company policies apply equally to all employees regardless of race, colour,
creed, national origin, age or sex.
B15
PA RTS EXC E L L E N C E
COMMUNITY RELATIONS
It is important that our company be known as a community-minded citizen.
Such a reputation can be earned only if every employee as well as the company,
accepts their full share of community responsibilities.
B-16